You can really think of national debt in the same way people think of debt for like a household or business. No one is going to come and repo America or anything.
Also, the USD is the de facto reserve currency of the world. That affords us the ability to carry more debt and greater deficits and isn’t likely to change in the near future.
Erm, that makes it wholly unlike the debt for a household and most businesses. ARMs? NINJA loans? Sub-prime lending? Any of this ring a bell? (hint- I’m talking about loans whose interest rate changes) And the most stolid, square-deal mortgage will default into foreclosure if it isn’t paid.
The US debt will be paid though, I agree. It’ll be paid with your Social Security benefits if it has to. But the interest at those seemingly weekly bond auctions will likely continue to rise, no?
I have to admit I don’t fully understand the implications of this. Feel free to fight my ignorance.